Commercial and Industrial Lending has moved to the forefront for many banks. After years of extending loans to develop and support Commercial Real Estate; banks’ loan portfolios have become heavily concentrated in loans secured by Commercial Real Estate. Regulators are demanding banks to diversify their commercial loan portfolios to include more commercial and industrial loans thus lessening the impact of commercial real estate loan concentration.

Transitioning from Real Estate Lending to Commercial & Industrial Lending is not that easy for many banks and it requires a different mindset, analytical and lending skills in order to identify and measure risk properly. For example, Real Estate Lending is truly Asset-Based Lending and more transactional oriented where the focus is upon the value of the underlying property to determine if the project can produce the necessary cash flow to service debt. In Commercial and Industrial Lending, the primary sources of repayment are Conversion of Assets (for Short Term Loans and Lines of Credit) and Historical and Projected Cash Flow generation (for Long Term Loans). For these types of loans, collateral, guarantors, sponsors, etc., become the secondary source of repayment. Commercial Loans can be highly profitable but can expose banks to a high level of risk if they are not properly investigated and analyzed. Since the loan portfolio is the largest asset for most banks and it generates the majority of interest income and fees, it is vital that commercial loans are selected and analyzed carefully before they are approved and funded.

The purpose of this three-day Commercial Lending School is to provide participants with the fundamentals required to be successful in the Commercial Lending Process. This school will cover the major areas commercial loan officers must master in order to build a safe and sound loan portfolio. Please view the agenda (link above) to see the specific topics this School will cover.

SPEAKER INFORMATION

Jeffery Johnson – Senior Consultant, Bankers Insight Group

Jeffery Johnson started his career with SunTrust Bank in Atlanta as a Management Trainee and progressed to Vice President and Senior Lender for SouthTrust Bank (a large Southeastern Regional Bank) and Senior Vice President and Commercial Banking Division Manager for Citizens Trust Bank of Atlanta (Community Bank).

Most of his career has been spent in Credit Administration, Lending (Commercial, Consumer and Real Estate), Business Development, Loan Review, Management and Training & Development. He has managed loan portfolios representing a cross section of loan types including: Large Corporate, High Net Worth Individuals, Middle Market Companies, Small Businesses, Real Estate and Non-Profit Organizations and managed several loan officers with portfolio management responsibilities.

Jeffery is now a training professional in the banking industry by leading various seminars covering important topics relating to issues in banking. He teaches actively for fifteen state banking associations in the United States, Risk Management Association (RMA) and individual banks nationwide. He co-authored a training course entitled “Lending to Service and Other Professional Organizations” for RMA in 2001.

LODGING INFORMATION

The NCBA has secured a discounted rate of $149/night for our attendees at the North Raleigh Hilton. To secure this discounted rate, please use the link below. This rate includes Lofton’s breakfast and complimentary transportation to and from the North Hills Mall. The hotel is located two miles away from the NCBA.

Please note that attendees are responsible for securing their hotel reservations.